ADOBE INC.ADBE

ADOBE INC. Goodwill & Intangibles Disclosure

10-KFiled Jan 15, 20262 min read
GOODWILL AND OTHER INTANGIBLES 
Goodwill by reportable segment and activity was as follows:
(in millions)Digital
Media		Digital
Experience		Publishing and
Advertising
Total Goodwill
Balances at December 1, 2023
$3,890 $8,517 $398 $12,805 
Foreign currency translation
(1)(16)— (17)
Balances at November 29, 2024
$3,889 $8,501 $398 $12,788 
Acquisitions14 — — 14 
Foreign currency translation
3 52 — 55 
Balances at November 28, 2025
$3,906 $8,553 $398 $12,857 
During the second quarter of fiscal 2025, we completed our annual goodwill impairment test associated with our reporting units and, based on the qualitative assessment, determined there was no impairment of goodwill. We did not identify any events or changes in circumstances since the performance of our annual goodwill impairment test that would require us to perform another goodwill impairment test during the fiscal year.
Other intangibles, net, as of November 28, 2025 and November 29, 2024 were as follows: 
(dollars in millions)
20252024
 Gross Carrying AmountAccumulated AmortizationNetWeighted Average
Useful Life (years)		Gross Carrying AmountAccumulated AmortizationNet
Customer contracts and relationships$1,208 $(857)$351 10$1,203 $(742)$461 
Purchased technology881 (853)28 6877 (704)173 
Trademarks372 (301)71 9372 (258)114 
Other60 (15)45 742 (8)34 
Other intangibles, net$2,521 $(2,026)$495 $2,494 $(1,712)$782 
Amortization expense related to other intangibles was $310 million, $336 million and $375 million for fiscal 2025, 2024 and 2023 respectively. Of these amounts, $151 million, $167 million and $207 million was included in cost of sales for fiscal 2025, 2024 and 2023 respectively. We did not recognize any intangible asset impairment charges for all periods presented.
Other intangibles are amortized over their estimated useful lives of 3 to 14 years. As of November 28, 2025, the estimated aggregate amortization expense for each of the five succeeding fiscal years was as follows:
(in millions)
Fiscal Year
Other Intangibles
2026$161 
2027119 
202873 
202969 
203065 
Thereafter8 
Total expected amortization expense$495 

Historical Timeline

Fiscal YearFiled
2025Jan 15, 2026Showing above
2024Jan 13, 2025
2023Jan 17, 2024
2022Jan 17, 2023
2021Jan 21, 2022
2020Jan 15, 2021
2019Jan 21, 2020
2018Jan 25, 2019
2017Jan 22, 2018
2016Jan 20, 2017
2015Jan 19, 2016

About Goodwill & Intangibles Disclosures

Goodwill and intangible asset disclosures reveal the premium paid in acquisitions and how management assesses whether that premium retains its value. Since goodwill is no longer amortized under US GAAP, the annual impairment test is the only mechanism that adjusts carrying values downward — making the assumptions behind that test critically important for investors.

Key signals: a history of goodwill impairments suggests management consistently overpays for acquisitions. Watch the gap between reporting unit fair value and carrying amount — when fair value exceeds carrying amount by less than 10-20%, a small decline in business performance could trigger a write-down. For finite-lived intangibles, examine useful life assumptions across customer relationships, technology, and trade names; aggressive estimates inflate near-term earnings. Compare total intangibles-to-total-assets ratios against peers to assess acquisition dependency. Rising goodwill as a percentage of equity can signal balance sheet fragility.

Other Available Disclosures

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